I must be missing something? (Comps in the area) - Page 2

ynotfehc · 01-08-2020, 08:33 PM

Your food cost percentage shouldn't be based on your business model or how big your operation is, it should be based on your costs and the amount of profit you are happy with at the end of the day. 5% profit for gross sales of $200,000 is much smaller than on $2M gross sales.

What are you selling a pan of beans for? Sell price for pan of mac? Is 13lbs the raw or cooked weight? You calculated 50 rolls, or 2 per person. If I'm planning on 50 sliders, that's 2-2.5oz cooked meat per slider, or 8lbs cooked, 12lbs raw. If your costs are accurate, you may just be settling too high on your food cost percent. Dont under estimate the cost to operate a mobile business. I spend about $150-200 a week just on gas for my pick up and generator.

Also a note on your recipes, only accurate unit of measurement is weight, not teaspoons. My recipes are all calculated in grams. 28 grams in 1 oz, and 1 gram is always the same, a teaspoon of seasoning is not. Even the best scales will usually only weigh to the nearest eighth or quarter of an ounce, a gram is .03oz. By using weight my recipe is automatically ready to be costed since you cant buy spices by the teaspoon, always weight and almost always grams will be on the package.

BigDaveBBQ · 01-09-2020, 11:09 AM

Quote:

Originally Posted by HBMTN

BigDaveBBQ, your pricing is online with ours. I would love to be able to get what they are charging for a drop off for 25 people but in my area, you would not make it in business a month charging $450 for what you had quoted. Pork, buns, sauce, beans, slaw and mac n cheese in my area would cost you $225-$275 plus tax & delivery for a drop off from most any barbecue vendor but I like the way that $450 sounds

Hey HBMTN, Yea these guys do not get booked often. I follow all their social medias. I think they are way too high personally. I may just be too nice of a guy, but I think based off the numbers the max I would ever go is 275 + tax. I would drop off and set up. Maybe some of the earlier comments are right, I will not last a month in business. These companies charging 400-500 are happy if they get the job and don't care if they lose the job. They have not done any follow-up with me, which tells me a but about them in general. I think if they get a job or 2 a month they are happy. Seems like they are most busy around the holidays doing company parties where they can charge more.

BigDaveBBQ · 01-09-2020, 11:13 AM

Quote:

Originally Posted by ynotfehc

Your food cost percentage shouldn't be based on your business model or how big your operation is, it should be based on your costs and the amount of profit you are happy with at the end of the day. 5% profit for gross sales of $200,000 is much smaller than on $2M gross sales.

What are you selling a pan of beans for? Sell price for pan of mac? Is 13lbs the raw or cooked weight? You calculated 50 rolls, or 2 per person. If I'm planning on 50 sliders, that's 2-2.5oz cooked meat per slider, or 8lbs cooked, 12lbs raw. If your costs are accurate, you may just be settling too high on your food cost percent. Dont under estimate the cost to operate a mobile business. I spend about $150-200 a week just on gas for my pick up and generator.

Also a note on your recipes, only accurate unit of measurement is weight, not teaspoons. My recipes are all calculated in grams. 28 grams in 1 oz, and 1 gram is always the same, a teaspoon of seasoning is not. Even the best scales will usually only weigh to the nearest eighth or quarter of an ounce, a gram is .03oz. By using weight my recipe is automatically ready to be costed since you cant buy spices by the teaspoon, always weight and almost always grams will be on the package.

Ynotfehc, I agree on the profit margins. I just need to adjust my mindset to not think about the customers pocket book and focus on mine.

As for my food cost: My mac and Cheese is $17.67 for a half pan. My slaw is cabbage directly from the farmers market and it costs me $2.50 in cabbage for what I need to feed 25 ppl. The ingredients that go along with it to complete the recipe. I was being aggressive at $3.50 for a total cost of $6.00. Beans are $14.31 for a full pan so I went high @ $8 for a half pan.

Thanks for the comment about teaspoon to grams. i agree that I need to convert that. I will work on that this weekend.

01-08-2020, 08:33 PM	#16
ynotfehc Full Fledged Farker Join Date: 07-03-13 Location: St Paul, MN	Your food cost percentage shouldn't be based on your business model or how big your operation is, it should be based on your costs and the amount of profit you are happy with at the end of the day. 5% profit for gross sales of $200,000 is much smaller than on $2M gross sales. What are you selling a pan of beans for? Sell price for pan of mac? Is 13lbs the raw or cooked weight? You calculated 50 rolls, or 2 per person. If I'm planning on 50 sliders, that's 2-2.5oz cooked meat per slider, or 8lbs cooked, 12lbs raw. If your costs are accurate, you may just be settling too high on your food cost percent. Dont under estimate the cost to operate a mobile business. I spend about $150-200 a week just on gas for my pick up and generator. Also a note on your recipes, only accurate unit of measurement is weight, not teaspoons. My recipes are all calculated in grams. 28 grams in 1 oz, and 1 gram is always the same, a teaspoon of seasoning is not. Even the best scales will usually only weigh to the nearest eighth or quarter of an ounce, a gram is .03oz. By using weight my recipe is automatically ready to be costed since you cant buy spices by the teaspoon, always weight and almost always grams will be on the package.